answer question 9 QUESTION 9The diagram shows the short-run cost curves of a firm. Which statement is CORRECT?costsoutputO A. Curve 1 is the average fixed cost curve.O B. Curve 3 is the average variable cost curve.O C. Curve 2 is the marginal cost curve.O D. Curve 4 is the average total cost curve.

OPTION A is correct. Curve 1 is Average Fixed Cost Curve AFC = TFC/Q Since TFC is positive at levels…

Answered: The diagram shows the short-run cost…

Business

Economics

The diagram shows the short-run cost curves of a firm. Which statement is CORRECT? costs output

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter12: The Cost Of Production

Section: Chapter Questions

Problem 3CQQ

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answer question 9

QUESTION 9
The diagram shows the short-run cost curves of a firm. Which statement is CORRECT?
costs
output
O A. Curve 1 is the average fixed cost curve.
O B. Curve 3 is the average variable cost curve.
O C. Curve 2 is the marginal cost curve.
O D. Curve 4 is the average total cost curve.

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